Verizon didn't buy Tumblr. Verizon bought Yahoo/Oath and ended up with Tumblr. It's a very different scenario.

It's important to remember that Tumblr never turned a profit; as far as I've been able to determine it never hit the break-even point. And the bottom line is that a giant service that's losing money is worse to own than a tiny service that's losing money. Verizon's attempt to kick out the NSFW parts wasn't simple-mindedness or prudishness, it was a calculated risk that a smaller but SFW Tumblr might be able to at least make enough money to pay for itself.

Having said that, it's also important to note that Tumblr still gets a lot of traffic; by most measures it's still in the top 100 most visited sites on the Internet, and gets more traffic than Wordpress.com -- Automattic's closest "competing" product -- does.

The name is dumb, we all agreed. As clearly did Verizon, since the company has been renamed since. But it was dumb in the sense of the CEO had a dumb idea that didn't translate well to other markets and not "The CEO had an even dumber idea and marketed it as being a slightly less dumb idea"

I just remember seeing a bunch of press releases of how Yahoo would be folded into the group led by the former AOL CEO, and that that group also contained TechCrunch and HuffPo. It felt weird that just those two were often mentioned together with AOL, and the initials lining up...?

Do you have a source for that? I worked there at the time of this unholy merger, and that explanation for the name was never given.

From what I recall, Tim Armstrong claimed the name reflected Verizon's promise to do right by AOL and Yahoo, or some other such complete nonsense. Internally, everyone I knew thought it was on par with Tronc for worst rebrand ever.

No, I don't have a source, and it could of course be possible that someone got the idea for the name somewhere else, but the initials of the businesses matching the thing is just too much of a coincidence.

I was at Yahoo until just before the sale to Verizon, which happened because the first attempt at spinning off the Alibaba shares tax-free failed. In the first attempt, Yahoo created a new company called Aabaco, which super conveniently could reasonably apply for the stock ticker AABA. (Alibaba had BABA)

When the first attempt failed, they needed an ALTernative solution, so they sold the core business to Verizon, and promptly renamed the company from Yahoo to Altaba and changed their stock ticker from YHOO to AABA.

Meanwhile, the press were super confused about the name change and there were a bunch of articles with people speculating on the name change, wondering what the name meant, etc, etc, because noone apparently could imagine that the name change was exactly as lazy and uninspired and dumb as it was.

I am pretty sure the OATH name was thought up by the same fine minds, and that it was equally uninspired and dumb. If you and your colleagues inside Verizon smelled corporate bullshit, I think that just strengthens my case.